USDCAD moves higher after Trump confirms tariffs to start in March.

The USDCAD pushed higher yesterday, and in the process moved into the "Red Box", that confined trading for most of December and into February (see the chart above).

Within that consolidated trading range, the price did spike to the upside after the initial Trump announcement of 25% tariffs on Canadian imports into the US (see the spike to the high in early February). After the tariffs were postponed the same day, the price moved back in the box, and ultimately bottoming at the low of the Red Box initially. On February 13, the price made a break below the Red Box leading to a momentum move to 1.4150 low.

Last week, the price traded up and down – consolidating the declines. This week, however, there has been ncreased momentum to the upside that ultimately took the price back within the confines of the "Red Box". The price also moved back above the falling 100 bar moving average from the 4 hour chart currently at 1.4263.

In trading today, there had been up and down price action at the 200 bar moving average on the 4-hour chart at 1.4334. However, recent headline news that Trump would go ahead with the March tariffs on Canadian goods, has pushed the price higher. The price is also above the 38.2% retracement of the February trading range at 1.4395. That is now close support followed by the 1.4366 level (the high from yesterday).

On the topside, the high of the swing area and Red Box which comes between 1.4448 and 1.44712. Also within that level is the 50% midpoint of the February trading range increasing the levels importance today and going forward. If can price can move above that level at 1.44712,